Morningstar Rating

ETF Research and Analysis

by Alex Bryan
Suitability
Vanguard Growth ETF VUG offers cheap exposure to large- and mid-cap growth stocks. Its sizable cost advantage, well-diversified portfolio, and generous buffer rules that mitigate unnecessary turnover make it one of the   Read more 

Bull Case

This is one of the cheapest growth funds available.
The fund's benchmark applies generous buffering rules to mitigate turnover, which should limit transaction costs.
The fund's holdings tend to enjoy stronger profitability and growth than their value counterparts and are more likely to carry durable competitive advantages. Read more 

Bear Case

Value stocks have historically outperformed growth stocks over long time horizons.
High growth is necessary to justify the valuations of the fund's holdings. If growth falls short of expectations, these stocks may underperform.
The fund's largest holdings are not necessarily the fastest growing. Read more 

This Strategic Beta ETF Ticks a Lot of Boxes 
Watch more 

Premium Membership

View all of our analyst reports with a free trial to Morningstar.com Premium.